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Global markets follow up on Wall Street rally

IN THE NEWS TODAY

World markets are higher this morning following Wall Street's best day in three weeks, and stock index futures are pointing to more gains at the U.S. open. Though the Paris attacks are still very much at center stage in the news cycle, investors are focusing on key economic numbers and earnings that will be out in the trading day ahead.

Oil prices were lower as traders looked beyond the risk premium following the Paris attacks and focused on fundamentals. The impact of the assault on safe haven gold also wore off as a firmer dollar and weaker demand hit the yellow metal.

The euro remained under pressure, falling to a seven-month low against the dollar and breaking below $1.0650 for the first time since April.


The Russian flight that crashed in Egypt last month, killing all 224 people on board, was brought down by a homemade bomb in a terrorist plot, the head of Russia's Federal Security Service said on Tuesday. ISIS previously claimed responsibility. (Reuters)

France made an unprecedented demand for its European Union allies to support its military action against the Islamic State group as it launched new airstrikes on the militants' Syrian stronghold, days after attacks in Paris linked to the group killed at least 129 people. (AP)

President Francois Hollande is seeking legislation that would make it easier for police to conduct raids without warrants, court advice on broader surveillance authority, and a constitutional amendment that would allow the state to take "exceptional security measures," The New York Times reports. (NYT)

Western allies sought to kill the suspected mastermind of the Paris attacks, identified as Abdelhamid Abaaoud, in an airstrike, but he could not be found in the weeks before the assault, security officials told the Wall Street Journal. (WSJ)

Republican governors in 22 U.S. states say they will resist new settlement of Syrian refugees. Meanwhile, Democratic governors in at least six states said they would continue to support the resettling of migrants. (CNBC)

Florida Governor Rick Scott, one of the GOP governors who oppose the State Department's resettlement plan, will be on "Squawk Box" at 7:30 a.m. ET.

President Barack Obama on Monday criticized Republicans who suggested only Christian refugees should receive U.S. assistance and called the notion of a religious test for migrants "shameful" and " not American." (CNBC)

President Obama is in Manila for a regional summit, where he affirmed U.S. commitment to the Philippine's freedom of navigation in Asia, indirectly addressing China's claim over nearly all of the South China Sea and its construction of artificial islands in contested waters. (AP)

In deal news, John Malone's Liberty Global (LBTYA) said Tuesday it will pay $5.3 billion in stock and a special dividend to acquire Cable & Wireless Communications, a London-based telecommunications firm. (AP)

Billionaire investor Carl Icahn ditched his entire stake in eBay (EBAY) in the third quarter and bought a position in PayPal (PYPL) equal in size, according to regulatory filings. Icahn fought for the separation of PayPal from eBay. (Reuters)

Severe weather watches are in effect in parts of Kansas, Oklahoma, Texas, and Arkansas after tornadoes and thunderstorms struck the Plains states overnight. (Weather Channel)

BY THE NUMBERS

The numbers parade begins at 8:30 a.m. ET, when the government releases the October Consumer Price Index. Consensus forecasts call for a 0.2 percent increase, reversing a drop of the same amount in September. The ex-food and energy rate is seen matching September's 0.2 percent increase.

At 9:15 a.m. ET, October industrial production is out, with economists expecting the number to be flat compared to September. Industrial production had declined 0.2 percent in September from August levels.

At 10 a.m. ET, the National Association of Home Builders issues its November sentiment index, expected to drop to 63 from 64 in October.

Fed governors Jerome Powell and Daniel Tarullo have separate public appearances today, and former Fed chairman Ben Bernanke has a speaking engagement at the Brookings Institution in Washington in the late afternoon.

Retailers dominate this morning's earnings reports, with Home Depot (HD), Wal-Mart (WMT), TJX (TJX), and Dick's Sporting Goods (DKS) all set to issue quarterly numbers. La-Z-Boy (LZB) is on the short list of companies set to release quarterly numbers after today's closing bell.


STOCKS TO WATCH

Urban Outfitters (URBN) is among today's stocks to watch, after reporting weaker-than-expected same-store sales for its latest quarter. The apparel retailer's earnings did match estimates at 42 cents per share, but its revenue was well below forecasts.

Ericsson (ERIC) raised its outlook for mobile data traffic growth, with the Swedish company now predicting a tenfold rise by 2021. In June, it had forecast an eightfold increase.

Herbalife (HLF) no longer has Soros Fund Management as an investor, according to the latest SEC filing from Soros. The fund liquidated its nearly 2 million share position during the third quarter.

Enbridge (ENB) cut 5 percent of its workforce, covering both the U.S. and Canada, as the largest Canadian pipeline company continues to endure the effects of lower oil prices.

Pandora Media (P) is buying assets from online music service Rdio, which plans to shut down the service and seek chapter 11 bankruptcy protection. Pandora will acquire technology and intellectual property from Rdio for $75 million in cash.


WATERCOOLER

McDonald's (MCD) will pilot a new value meal scheme called the "McPick 2" that offers two low-priced items for $2. The option reinstates the $1 price point the fast food chain abandoned in 2012. (AP)

Taco Bell plans to serve only cage-free eggs at all of its more than 6,000 U.S. locations by the end of next year. (CNBC)